Maryland Sees Astronomical Increase in Home Solar Installations

In Maryland, Chevy Chase resident Joe Gitchell is saving about $1,000 each year on his utility bills. Integrated into his home’s roofing tiles (almost like solar shingles) are photovoltaic (PV) panels that provide 40 percent of the energy his home uses. The panels are as attractive as they are functional, interlaced with the slate tiles to present a patchwork of steel gray and shimmering blue.

In addition to providing electricity for his home, Gitchell’s PV system also generates hot water. The $1,000-a-year savings has Gitchell wanting to save even more. His goal now is to have renewable energy power 80 to 90 percent of his home’s energy needs.

“At some level I do believe we are changing the earth,” he said, adding that we shouldn’t “make it worse than we have to.”

Gitchell’s PV system was one of 14 solar panel systems visited during the recent Southern Maryland Solar Tour, hosted by solar contractor Solar Tech of Hollywood. The tour highlighted a variety of solar installations, both residential and commercial, illustrating how far Maryland has come towards meeting mandated renewable energy goals.

Governor Martin O’Malley expects the share of solar power to continue to double each year. A state standard mandates that 20 percent of the state’s energy needs be provided through renewable sources by 2022. The accelerating rate of PV systems installed in Maryland indicates there is hope of reaching that goal, and can help homeowners earn cash from their utilities.

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According to the Maryland Energy Administration, in 2007, the state had less than one half megawatt of solar energy on its grid. In 2010, that number had risen to 10 megawatts. In just the first half of 2011, the number doubled to 20 megawatts. Over the course of five years, Maryland home solar has grown an astounding 15,000%.

Gitchell’s high-tech PV system, which combines solar panels and roofing, costs about $33,000 after deducting federal tax incentives and state rebates. Maryland provides homeowners a $.50 per watt rebate up to $10,000 for residential solar PV systems. Gitchell saved an extra $1,500 by including a solar thermal system in the installation.

Throughout the country, many states issue Solar Renewable Energy Certificates (SRECs) for each annual megawatt-hour of power that a homeowner’s PV system generates. SRECs are a financial instrument that can be sold to utilities to help them meet government mandates to invest in renewable energy.

SRECs in Maryland have typically sold for about $200. New pending regulations in Maryland will require utilities to purchase SRECs at a rate more in line with the SREC market. This is good news for Maryland residents who may see their SREC value rise to about $400 each. Joe Gitchell’s PV system generates about seven SRECs each year. Once a residential PV system returns its investment, SRECs provide homeowners with a way to earn extra income.

Maryland’s state rebate program now features an online application option that streamlines the application process, automatically verifying applications that are filled out correctly and notifying homeowners when they are not. Since the state’s conventional electricity costs more than in other states, Maryland residents may never see a better time to go solar.

Via Gazette.net

Maryland Sees Astronomical Increase in Home Solar Installations